Colonial Trust Advisors has increased its stake in Broadcom Inc. by 8.0% during the second quarter of 2023, according to a recent filing with the Securities and Exchange Commission (SEC). The investment firm now holds 9,044 shares of the semiconductor manufacturer, having acquired an additional 668 shares over the quarter. At the end of this period, Colonial Trust Advisors’ holdings in Broadcom were valued at approximately $2,493,000.
Other institutional investors have also made significant moves regarding their positions in Broadcom. Cheviot Value Management LLC entered a new position in the company in the first quarter, investing around $25,000. Sawyer & Company Inc. increased its holdings by an impressive 62.1% during the second quarter, bringing its total to 94 shares, worth about $26,000. Additional new stakes were acquired by Longfellow Investment Management Co. LLC for approximately $27,000, Legend Financial Advisors Inc. at $28,000, and LGT Financial Advisors LLC at around $31,000. Overall, institutional investors and hedge funds own about 76.43% of Broadcom’s stock.
Insider Transactions and Company Performance
In related developments, Broadcom’s Director, Justine Page, sold 800 shares of the company’s stock on November 14, 2023, at an average price of $331.14, totaling $264,912. Following this transaction, Page’s ownership decreased to 21,382 shares, valued at approximately $7,080,435.48.
CEO Hock E. Tan also made headlines by selling 100,000 shares on September 23, 2023, for a total of $33,958,000. After this sale, Tan retains direct ownership of 725,638 shares, valued at about $246,412,152.04. This transaction represented a 12.11% reduction in his stake. During the last quarter, company insiders purchased a total of 3,550 shares worth $1,227,869 while selling 665,271 shares valued at approximately $225,483,192. Insiders currently hold 2.00% of Broadcom’s total stock.
Broadcom’s Financial Outlook and Dividends
As of September 29, 2023, Broadcom’s stock opened at $397.57. The company maintains a current ratio of 1.50, a quick ratio of 1.37, and a debt-to-equity ratio of 0.86. Its 50-day moving average stands at $351.00, while the 200-day moving average is $305.01. Broadcom’s market capitalization is approximately $1.88 trillion, with a price-to-earnings (PE) ratio of 101.42.
In its most recent quarterly earnings report, released on September 4, 2023, Broadcom reported earnings per share (EPS) of $1.69, exceeding analysts’ expectations of $1.66. The company generated revenue of $15.95 billion, surpassing estimates of $15.82 billion. This figure marks a year-over-year revenue increase of 22.0%, compared to an EPS of $1.24 during the same quarter last year. Looking ahead, analysts forecast that Broadcom will post an EPS of 5.38 for the current year.
In addition to its strong earnings performance, Broadcom declared a quarterly dividend of $0.59 per share, which was paid on September 30, 2023. Shareholders on record as of September 22, 2023, received this dividend, which translates to an annualized payout of $2.36 and a dividend yield of 0.6%. The company’s dividend payout ratio is currently 60.20%.
Broadcom Inc. designs, develops, and supplies a range of semiconductor devices, focusing on complex digital and mixed-signal complementary metal oxide semiconductor devices and analog III-V based products. The company operates in two primary segments: Semiconductor Solutions and Infrastructure Software. As it continues to navigate a rapidly evolving semiconductor market, Broadcom remains a significant player in the industry.
